The Chicago Metropolitan Housing Development Corporation (CMHDC) is created as an instrumentality of the Chicago Housing Authority (CHA). CHA appoints five members to the Board of Directors.
1983 – 1984
CMHDC issues bonds exceeding $200 million to provide financing for the creation of more than 2,100 rental apartments.
1992 – 1993
CMHDC refinances its 1983 bonds under an agreement with the federal government. This refinancing, known as Financial Adjustment Factor (FAF) refinancing, allows CMHDC to capture more than $20 million in funds over the next 10 years for the development of affordable housing.
1994 – 1996
CMHDC begins to assist the CHA in its efforts to redevelop public housing by acquiring and rehabbing single family homes to be used by public housing residents. Assets of the corporation approach $4 million.
1996 – 1997
New and current management takes charge of CMHDC. The corporation is restructured as a 501(c)3 non-profit housing development corporation with a mission to acquire and redevelop multifamily properties using its FAF money to leverage private financing. The Board of Directors is expanded to 9 members that includes 7 independent and 2 CHA-appointed directors. CMHDC initiates an acquisition program and acquires its first 20 apartments while reducing its participation in the redevelopment of public housing.
CMHDC furthers its transition to a self-supporting entity. CMHDC and CHA negotiate a fee-for-service agreement, which allows CMHDC the flexibility to pursue development opportunities without the limitations and requirements of the public housing programs. CMHDC sets as a goal to become self-supporting and to reduce income from CHA to no more than 10% of its total income within the following 5 years.
Organization grows to $18 million in assets. CMHDC undertakes its first rehab project at 4700 N. Beacon followed by the rehabilitation of 1714 W. Jonquil and 10979 S. Church.
CMHDC reaches $29 million in assets with more than 250 rental units and starts divesting its single family homes.
2003 – 2004
CMHDC reaches over $40 million in assets with over 400 rental units. CMHDC meets goal of decreasing support from CHA by reducing income from CHA to 4% of total income while substantially increasing its development and rental income. CMHDC forms its first partnership with a for-profit developer to work on a new construction for-sale condominium project, The Mark.
CMHDC reaches over $46 million in assets with 525 rental units. The Mark is completed and 8 units are sold as affordable condominiums.
CMHDC incorporates CMHDC Development Services, a subsidiary dedicated to working in the suburbs of Chicago to stabilize the affordable rental market.
CMHDC Development Services acquires Cicero Garden, a 54 unit affordable housing development in Cicero, IL. Increasing the rental portfolio to over 650 units CMHDC Development Services becomes a key player in addressing the foreclosure crisis in Chicago’s southern suburbs in partnership with Cook County, the Metropolitan Planning Council and the South Suburban Mayors and Managers Association (SSMMA).
Cook County selects CMHDC Development Services as its technical advisor partner to manage the County’s Neighborhood Stabilization Program.
CMHDC receives its first foundation grant award in the amount of $45,000 from the Searle Funds of The Chicago Community Trust.
CMHDC incorporates Chicago Metropolitan Construction , LLC, a general contracting construction company to meet the organization’s construction needs.
Cicero Gardens is completed.
CMHDC acquires its first Chicago NSP project, 3252-56 West Leland, a 6-unit rental building. CMHDC Development Services structures the successful short-sale acquisition of 85 single-family homes and townhouses throughout the southern suburbs.
Total assets for CMHDC and its related entities exceeds $54 million with and rental portfolio increases to 727 units.